1. Field of the Invention
The present invention relates generally to the field of insurance risk analysis. More specifically, the present invention relates to a system and method for estimating loss propensity of an insured vehicle and providing driving information, while protecting the location privacy of insureds.
2. Related Art
In the insurance field, access to accurate information representative of risk is critical. Accurate risk information is especially important in the field of automobile insurance, where accidents are commonplace. Insurers rely on such information to guide decisions relating to insurance plans, rates charged, etc., so as to provide financial return for the insurer and adequate coverage for insureds. Also of value to insurers is information about driving routes and/or locations of insured vehicles. However, there has been some reluctance by the public to share driving route and/or location data with third parties, such as insurance companies.
Telematics devices have, in the past been installed in vehicles and utilized by insurers to remotely obtain information about driving behavior. Examples of the types of information remotely obtained by such devices include vehicle location, speed, acceleration, braking, turns, etc. This information is used, for example, to modify the final cost of insurance based upon the monitored driving behavior.
What would be desirable is a system which utilizes vehicle telematics to provide insurers with estimates about the loss propensity of an insured vehicle and driving information which may be predictive of future losses, but which does so while preserving the privacy and confidentiality of driving location information.